American Express Company

WBAG:AXP Stock Report

Market Cap: €170.8b

American Express Valuation

Is AXP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AXP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AXP (€239.9) is trading below our estimate of fair value (€307)

Significantly Below Fair Value: AXP is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for AXP?

Other financial metrics that can be useful for relative valuation.

AXP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio3.1x

Price to Earnings Ratio vs Peers

How does AXP's PE Ratio compare to its peers?

The above table shows the PE ratio for AXP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average23.8x
COF Capital One Financial
13.8x14.3%US$55.9b
BAJFINANCE Bajaj Finance
32.1x17.7%₹4.8t
DFS Discover Financial Services
12.3x6.5%US$34.1b
511243 Cholamandalam Investment and Finance
36.9x20.7%₹1.4t
AXP American Express
19.6x6.4%€190.6b

Price-To-Earnings vs Peers: AXP is good value based on its Price-To-Earnings Ratio (19.6x) compared to the peer average (23.8x).


Price to Earnings Ratio vs Industry

How does AXP's PE Ratio compare vs other companies in the European Consumer Finance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a21.1%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a21.1%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: AXP is expensive based on its Price-To-Earnings Ratio (19.6x) compared to the European Consumer Finance industry average (8.1x).


Price to Earnings Ratio vs Fair Ratio

What is AXP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AXP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.6x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate AXP's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AXP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€239.90
€228.31
-4.8%
9.1%€255.30€188.12n/a23
Sep ’25€232.05
€232.07
+0.007%
8.8%€261.15€192.42n/a23
Aug ’25€230.70
€233.33
+1.1%
9.4%€263.20€181.93n/a23
Jul ’25€217.55
€221.96
+2.0%
10.7%€256.11€162.98n/a24
Jun ’25€218.30
€218.88
+0.3%
10.8%€247.03€161.88n/a21
May ’25€221.55
€210.02
-5.2%
16.3%€249.78€116.91n/a24
Apr ’25€210.40
€194.89
-7.4%
14.6%€237.41€116.38n/a24
Mar ’25€202.70
€190.47
-6.0%
13.5%€221.47€115.35n/a25
Feb ’25€185.25
€187.32
+1.1%
12.9%€221.59€115.41n/a26
Jan ’25€169.60
€159.24
-6.1%
12.1%€205.31€112.56n/a25
Dec ’24€158.90
€157.08
-1.1%
10.3%€183.65€114.21n/a24
Nov ’24€138.00
€161.70
+17.2%
10.4%€189.92€118.11n/a23
Oct ’24€142.45
€170.13
+19.4%
11.2%€192.02€118.24n/a21
Sep ’24€147.50
€165.65
+12.3%
11.2%€187.17€115.25€232.0521
Aug ’24€153.15
€164.21
+7.2%
11.5%€187.83€113.98€230.7022
Jul ’24€159.20
€162.64
+2.2%
10.9%€188.30€114.49€217.5522
Jun ’24€150.30
€163.65
+8.9%
10.8%€191.10€116.76€218.3022
May ’24€142.30
€163.73
+15.1%
8.7%€186.61€132.90€221.5522
Apr ’24€150.54
€172.21
+14.4%
8.9%€193.42€140.58€210.4021
Mar ’24€164.50
€171.27
+4.1%
9.0%€192.52€139.93€202.7021
Feb ’24€159.22
€163.25
+2.5%
9.2%€186.61€135.63€185.2521
Jan ’24€137.40
€153.37
+11.6%
10.9%€189.62€120.76€169.6021
Dec ’23€148.38
€153.85
+3.7%
10.9%€190.95€121.60€158.9020
Nov ’23€149.38
€163.50
+9.5%
10.8%€203.59€129.65€138.0019
Oct ’23€141.18
€175.91
+24.6%
8.6%€207.41€144.47€142.4519
Sep ’23€149.36
€170.82
+14.4%
8.9%€200.12€139.38€147.5019

Analyst Forecast: Target price is lower than the current share price.


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